Thread: Foreign Currency Speculation
04-11-2005, 10:48 PM #1
Foreign Currency Speculation
Anyone buy into this?
I got a few million Iraqi Dinar - fuk if it goes back up like the Kuwati currency did after they were liberated... thats a better pay off than any stock. It's the first democracy in the region with a lot of untapped oil reserves... even if it goes up a nickle - thats a 30k profit. Might take several years to mature though...
China HAS to float their currency soon - it is so under it's rediculous. Their economy is exploding right now too. Seems converting into the Chinease Wan might be a good move too...
Anyone know more about this?
04-12-2005, 12:34 AM #2
FX speculation can be an excellent way to make a huge buck really fast, as can be done in any type of leveraging scheme using options, FX futures in this case. IMO if you play this game don't buy the currency itslef but a derivative product (call any major brokerage house for more info on thier schedule, policy commisions etc) whose value is the underlying currency. As for the Iraqui cash you currently have, I would definitely hold onto it, as countries move towards a more free market their currencies will tend to get bid up in speculation of a brighter future. Holding Iraqi $$, in hopes of profit, is betting on democracy happening there in the not so distant future. It's a bet I would take but as far as other currencies go buy FX futures rather than the currency itself.
I would not buy Chinese Yuan....who knows what the heck these commies are thinking and they aren't subject to political pressure in the same way poorer nations or democratic nations are. Just my 2 cents on Chinabucks.
04-12-2005, 12:51 PM #3
Thanks - I'll look into the FX for the Yuan (any broker links?). If I can recall correctly, the Kuwaiti Dinar went from about $.40 to the dollar during the 1992 to crisis to it's current exchange of over 3 dollars for one of their dinars. Thats a huge jump. I bet the Iraqi Dinar value (the new ones have American-like security measures to protect against counterfiets) will go up quickly after December if the final elections don't get appealed. Its current exchange is at .00069 - can't get much lower. Plus, Saudi won't verify their oil reserves by allowing foreign inspectors in.... Iraq could be the leading oil producing, democracy, in the future...
04-12-2005, 01:04 PM #4
Stay with the Dinar ask your guy about OPEC dumping the dollar as their standard and adopting a single currency (the Dinar) trust me on this
04-12-2005, 01:19 PM #5Associate Member
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04-12-2005, 01:19 PM #6Originally Posted by 1victor
04-12-2005, 01:30 PM #7Originally Posted by l6873
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